A lot of R&D work is outsourced to India, where scientists have now began to earn hefty paychecks.
Yes, other countries have knowledge workers too. And...? My point remains: simply being able to manufacture goods is something that everyone can do, cheaply and on a mass scale. Hence, it's unprofitable. The profit lies in things that can't be easily replicated. That's why the service sector is growing so much.
Intel moved my former roommate's entire department to Russia. Another friend of mine worked for Sybis in Cali. Sybis gutted it's entire IT department (everything) and moved it to India. Oracle has done similiarly but on a smaller scale. IBM, Nortel, etc. The only thing that ever came back was one call center from Dell.